In reviewing the quantitative metrics used for comparing and selecting projects, there may also be qualitative ideas that should be part of the decision-making process. This statement may sound contradictory but is an important one: Don’t do everything, but do a little bit of everything. For an oil and gas operation there may be eight major categories of projects that relate to emissions: Pneumatics, flares, vapor recovery systems, storage tanks, fugitive emissions, engines, equipment failures and system depressurisation. Even if the economic metrics outlined above point the leadership to prioritise projects in five of these eight areas, it still may be important to execute at least one project in each of these areas.on the industry and the size of each company, but a good starting point is less than two years for short-term, two to f ive years for medium-term, and greater than five years for long-term projects. One reason is that it may be the case that lack of knowledge in one of these specific areas may have led to an incomplete MAC Analysis. 

By engaging the organisation in executing specific projects, it may be learned that new technologies or methodologies will help the company realise lower cost or higher levels of emissions mitigation than were originally anticipated. Also, it may be the case that regulations may in the future require intervention in these other areas. Start building the organisational capabilities in many areas now (without overloading individuals within the organisation or taking on too many new initiatives.) 

Analysing Projects Consistently 

Some projects may entail reductions in CO2 emissions while others may focus on other greenhouse gases such as methane. It should  be established upfront how projects should be compared. For instance, it is common to evaluate projects on a CO2-equivalent basis (one way to account for this is by equating one tonne of methane to 25 tonnes of CO2 to account for the greater warming potential of methane over a 100 year period). 

Summary 

It can be hard for leaders within an organisation to know how to get started in the area of emissions mitigation. The most important learning is not to try to do everything. Effective analysis can inform decisive prioritisation in a way that leads to clearly articulated objectives, effective alignment within an organisation and the placement of the right resources. It is important to analyse the many opportunities for emissions reduction in a way that is thorough but also judicious. A quantitative Marginal Abatement Cost (MAC) Analysis (coupled with a qualitative understanding of the current limitations and long-term needs of an organisation) can help guide leaders in going from vague, complex ideas to clear, actionable objectives that will yield real-world results. Along the way, it is important to balance short-, medium- and long-term objectives to ensure that many types of opportunities are realised and the organisation builds the necessary capabilities to engage with them.